Changes to the Kiwisaver scheme have triggered a boom in section sales around Christchurch as buyers jump at the chance to land higher-priced properties.
Income cap limits on the Kiwisaver HomeStart grant rose on August 1, meaning potential homebuyers could earn more and still qualify for financial assistance. Price caps, limiting the value of a property that someone could buy with the help of their Kiwisaver funds, also increased.
Two Christchurch subdivisions alone have sold 50 sections over the past four weeks as buyers responded to the changes.
Real estate agent Hamish Wheelans of Gillman Wheelans said enquiries increased 30 per cent in the week after the changes were announced, followed by sales contracts.
When he released 22 sections in a Halswell subdivision, Kirkwood, they were all chosen on the first day. Eighteen were now under contract.
Another of his subdivisions, Broken Run, had 16 sections available at the beginning of August. Half had already sold.